So if the arms were designed moving the front bushing to above the axle, would there be any benefit in keeping the front bushing for on road manners? Same basics as the hitch pin mod, a pin you can pull to eliminate that link. Basically making it a 5 link on road, and a 4 link (in two planes) off.
Also, is it better to move the front link on one of the arms above the axle, or the rear link? For additional flex would you want the two links closer together or further apart?
No benefit and you'd be back to the 'skinny arm' requirement. The reality is that in order to get a y-link to flex you need a larger bushing that can deflect more than the stock 80 stuff and I don't think there is a good way around this. You want the front bushing moved above the axle with a decent amount of spacing between the upper and lower mounts.
Take a look at the Jeep radius arm stuff such as Rubicon express. That's pretty much what you are looking at in terms of design and in fact I'd use a Jeep aftermarket solution as that will provide you access to factory and/or aftermarket bushings.
Now what Jeep is doing is utilizing the existing four-link mounts, but it works well and is proven design with those larger bushings and I think the easiest approach is to mimic that setup.